FEMA & International

FEMA, NRI, RBI and International Transactions Hub

NRI taxation, NRE/NRO accounts, DTAA relief, foreign remittance under LRS, TDS on NRI property transactions, and returning-NRI (RNOR) tax benefits — for NRIs, returning Indians, and residents with foreign income or investments.

NRI Taxation Basics

NRI Taxation in India: Complete Guide

Income tax, TDS, ITR filing and DTAA benefits for NRIs

NRI Taxation Under the Income-tax Act 2025

What changes for NRIs from Tax Year 2026-27

NRE vs NRO Account Interest Taxation

NRE interest is exempt; NRO interest is fully taxable with TDS

NRI Investment Options in India

What NRIs can and cannot invest in, and the applicable routes

RNOR Status: Returning NRI Tax Benefits

The temporary window where foreign income stays untaxed in India

TDS on NRI Transactions

TDS on Sale of Property by NRI: Section 195

Buyer's TDS obligation when purchasing property from an NRI seller

TDS on Rent Paid to NRI Landlord: Section 195

Why renting from an NRI landlord changes the tenant's TDS duty

Cash Gift From an NRI Relative: Tax Treatment

When gifts from NRI relatives are exempt, and when they're not

DTAA & Foreign Income

Double Taxation Avoidance Agreement (DTAA) Guide

How DTAA relief works and how to claim it

Foreign Rental Income for Resident Indians

Tax treatment when a resident owns property abroad

Expatriate Employees in India: Tax Treatment

How foreign nationals working in India are taxed

RSU & Foreign Shares: Taxation and Schedule FA

Foreign asset reporting obligations alongside RSU taxation

Section 89A: Foreign Retirement Account Relief

Deferring tax on foreign retirement accounts like 401(k)/IRA

Remittance, Investing Abroad & Remote Work

TCS on Foreign Remittance: LRS & Section 206C(1G)

When sending money abroad triggers Tax Collected at Source

Investing in US Stocks From India

LRS limits, taxation and reporting for buying foreign shares

Tax for Remote Workers With Foreign Employers/Clients

How income from foreign clients is taxed for India-based remote workers

GST Registration for Service Exporters

Registration without a physical office, relevant to cross-border service providers

🧾 Income Tax Calculator ⚖️ Compare Investments

Practical Checklist: For NRIs and Returning Indians

Determine your residential status correctly for the year — it drives your entire tax treatment, not just a label
Convert resident savings accounts to NRO (and open NRE if remitting foreign income) on becoming an NRI — holding a resident account as an NRI is a FEMA violation
Check DTAA provisions with your country of residence before assuming income is taxed twice
If selling property in India, confirm the buyer's TDS obligation under Section 195 and the rate that applies to NRI sellers
If returning to India, check your RNOR eligibility — this window can shelter foreign income/assets from Indian tax temporarily
Report foreign assets and foreign income in Schedule FA of your ITR if you're a resident — penalties for non-disclosure are severe
Track LRS remittance limits and TCS implications before large transfers abroad

Frequently Asked Questions

Can an NRI keep a regular resident savings account? ▼

No. Under FEMA, once your residential status changes to NRI, you're required to convert your resident savings account to an NRO account (or close it and open NRE/NRO as appropriate). Continuing to operate a resident account as an NRI is technically a FEMA violation, even though banks don't always enforce this immediately.

Is NRE account interest really tax-free? ▼

Yes, interest earned on an NRE account is exempt from Indian income tax for as long as the account holder maintains NRI status. NRO account interest, by contrast, is fully taxable in India with TDS deducted at source, regardless of where the underlying income originated.

What is RNOR status and why does it matter? ▼

RNOR (Resident but Not Ordinarily Resident) is a transitional residential status available to NRIs returning to India, typically for up to two years after return depending on how long they were NRI before. During RNOR status, foreign income and foreign assets generally remain outside the scope of Indian tax, making it valuable to plan major foreign-income events (like selling foreign property) before this window closes.

Regulatory Updates

OngoingLRS remittance limits and TCS rates under Section 206C(1G) are periodically revised by the government — always verify the current limit and rate before a large remittance.

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